Home
My stock trading blog
FREE newsletter
Stock chart analysis
Stock chart patterns
Stock trading strategy
Stock trading system
Stock trading books
Stock trading journal
Stock trading software
About Me
Contact me
ETF Trading
Best online brokers
My trading tips
Stock screeners
My stock trades

Bearish candlesticks

Candlestick chart analysis allows us to recognize current sentiment on market.

Negative emotions are shown on chart. Price movement representing bearish emotions is charted by bearish candlestick patterns.

These patterns can consist of one, two or more candlesticks.

I personally think that for short term trading is important knowledge of these two types of negative candlesticks patterns:

  • long black body candlestick
  • big upper shadow candlestick

Here are examples on stock charts:

This first chart presents that price tried to go through resistance of downtrend line and 50EMA , but every time dived again under them. Really strong signal that stock is under selling pressure. Also notice high number of long upper shadows candlesticks on this chart.

bearish long uper shadow

This chart shows how long red candlesticks developed every time price touched downtrend line.

Bearish long red body candlestick


My stock chart analysis tip

If you will find such bearish candlestick near important level of resistance , then it is confirming signal. Signal that current uptrend is at the end and some downtrend move will be in place soon.




Return from Bearish candlesticks to stock chart analysis



footer for bearish candlesticks page